https://arab.news/4qez7
Riyadh: Abu Dhabi-based hospital operator Burjeel Holdings鈥� shares rose 15.5 percent on their first day of trading on Monday after the company raised 1.1 billion dirhams ($299.49 million) through the stock market listing.
Burjeel鈥檚 shares were trading at 2.31 dirhams each at 0905 GMT, up from an initial public offering price of 2 dirhams a share, the lower end of a 2-2.45 dirhams range indicated on Sept. 30.
The listing is the latest in a string of IPOs in the Gulf that have defied wider market trends. Neighboring Dubai listed three state-linked entities this year alongside several other flotations in Abu Dhabi and regional heavyweight 抖阴短视频, which aims to make its stock exchange among the world鈥檚 top three.
Burjeel, which operates 16 hospitals and 23 medical centers, said in a statement the IPO of 11 percent of the company鈥檚 issued share capital drew total gross demand of more than 32 billion dirhams, implying 29 times oversubscription 鈥渋n aggregate.鈥�
鈥淎t the time of listing, Burjeel Holdings is the largest health care company trading on ADX,鈥� Burjeel said, referring to the Abu Dhabi Securities Exchange and noting that the IPO price gave the company a valuation of 10.4 billion dirhams.
It said it intended to pay cash dividends from 2023 onwards with an expected pay-out ratio of 40-70 percent of net income, depending on investment needs for additional growth plans.
The company posted net income of 152.9 million dirhams in the first half of this year and 234.1 million dirhams in 2021, according to Refinitiv data.
In September, Abu Dhabi鈥檚 International Holding Company, chaired by the UAE鈥檚 national security adviser, bought a 15 percent stake in the company. VPS Healthcare Holdings, founded and chaired by Shamsheer Vayalil Parambath, continues to own 70 percent of Burjeel following the IPO.